On 15 October 2014 Malta signed a tax treaty with Mauritius. The treaty was published by means of legal notice 409 of 2014.
The tax treaty is modelled on the OECD model convention. However, it is interesting to note that no withholding tax is levied on dividends, interest and royalties and therefore the source state will not tax dividend income, interest or royalties and the residence state will have exclusive jurisdiction to tax such income. The treaty provides that the source state will have taxing rights with respect to capital gains on immovable property and movable property.
The tax treaty also contains ‘standard articles’ with respect to the elimination of double taxation (under the credit method), mutual agreement procedure, exchange of information and a rather detailed article with respect to assistance in the collection of taxes.